Skip to Content
@dan-mcgee
Insurance - Oct 21, 2016

A close analogy would be the business model of some micro-lenders, where an entire village would lose access to credit if one of the borrowers defaulted. Similarly, effects of peer pressure should help to combat moral hazard, both by reducing fraudulent claims and by convincing individuals not to claim 'marginal' claims.

@dan-mcgee

Join in on the conversation with Dan McGee when you subscribe to Future of Financial Services.